$6.50 is the much higher price faced by the average urban consumer in 2009 relative to 2002.
<h3>What is the real gross domestic product?</h3>
Real gross domestic product (GDP) is a measure of an economy's output of all products and services over the course of a year, adjusted for inflation. Base-year prices are used to express real GDP.
It is also known as GDP in constant prices, GDP that has been adjusted for inflation, and GDP in constant dollars. Simply expressed, real GDP corrects for price fluctuations and estimates the total economic production of a nation.
Suppose the cost of an apple was $0.50 in 2002.
Apple cost $1 in 2009.
In 2002, an orange cost $1.
In 2009, one orange cost $1.50.
Therefore, if 4 apples were produced in 2002 and 5 apples were produced in 2009, then 3 oranges were produced in 2002 and4 in 2009
Real GDP in 2009 is then equal to (apples sold in 2009 X price of apples sold in 2002) plus (oranges sold in 2009 X price of oranges sold in 2002).
= 5 x 0.50 + 4x1
= 2.50+ 4 = 6.50
Learn more about GDP from the given link:
brainly.com/question/1383956
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